Overview of the New Register for Bank Accounts and Safes
The Cabinet of Ministers has approved draft legislation establishing a Register of Personal Bank Accounts and Individual Safes. Administered by the State Tax Service, this register will collect:
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Date of account or safe‑deposit box opening and closing
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IBAN and financial institution details
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Full name of the individual owner
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Information on safe rental agreements
Importantly, the register will not include:
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Account or safe balances
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Contents of safes
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Restrictions on citizens’ financial transactions
Objectives: Aligning with EU Anti‑Money‑Laundering Standards
This initiative aims to harmonize Ukraine’s financial‑monitoring framework with EU regulations on preventing money laundering and terrorist financing. Key goals include:
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SEPA Integration: Meeting EU requirements for joining the Single Euro Payments Area, enabling fast, fee‑free euro transfers between Ukraine and EU countries.
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Enhanced Transparency: Providing the Tax Service with timely data on account openings and closures to detect suspicious activity.
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Beneficial Ownership: Creating a parallel Register of Ultimate Beneficial Owners for trusts and similar entities, also managed by the Tax Service.
Key Provisions of the Draft Law
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Mandatory Notifications from the National Bank, commercial banks, non‑bank payment providers, and e‑money issuers whenever individuals open or close accounts or rent safes.
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Enhanced Beneficiary Verification for legal entities, with sanctions for companies that fail to submit accurate ownership information to the Unified State Register.
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Stronger Financial Monitoring Sanctions in line with EU best practices, including penalties for non‑compliance.
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Whistleblower Protections establishing a safe channel for reporting financial‑monitoring breaches.
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Expanded Monitoring Subjects: Inclusion of trust trustees and high‑value goods traders when transactions exceed UAH 400 000.
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Integrity Safeguards: Barring individuals with certain criminal records from managing financial‑monitoring processes.
Implications for Ukrainian Citizens and Businesses
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Simplified Euro Transfers: Once SEPA membership is secured, euro payments will process at EU standards—faster and with no hidden fees.
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Improved AML Enforcement: The register strengthens the Tax Service’s ability to spot and investigate money‑laundering risks without infringing on personal privacy.
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Clearer Compliance Rules: Financial institutions and service providers will follow uniform notification requirements, reducing regulatory ambiguity.
Next Steps and Implementation
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Parliamentary Review: The draft law will undergo readings in the Verkhovna Rada.
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System Development: The Tax Service will establish secure IT infrastructure for the account and safe register.
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Stakeholder Training: Banks, payment providers, and trust operators will receive guidance on notification procedures and compliance timelines.
By creating this comprehensive register, Ukraine moves closer to EU financial standards, strengthens its anti‑money‑laundering defenses, and unlocks the benefits of SEPA membership—boosting transparency and supporting efficient cross‑border payments.
